Today we found out that unemployment in August shot up to 6.1%. This is up more than a full percentage point since April, representing literally millions of people out of work.
Job losses were widespread. Unlike in past months when they have been concentrated in manufacturing and construction, we are now seeing job losses in retail and other services. People are just buying what they have to and nothing more.
So what is John McCain's plan? For starters, he said nothing specific about it in his speech on Thursday. He pledged to cut taxes and cut spending. Yeah. Wasn't this the Bush approach? The Bush tax cuts (which McCain has flip-flopped on, going from opposing them when they were passed to now supporting their extension) achieved an enormous budget deficit which led to a weakening dollar, the subsidizing of companies to build new factories in Asia to which they sent American jobs, and reckless investment in the housing bubble which turned out to be built on sand and destroyed the savings and jobs of millions of Americans when it came crashing down.
He really doesn't plan to do anything about the economy, except the same things as Bush has.
We can't afford four more years of this kind of failed policy.
5 comments:
I agree with you that we cannot afford the Bush/McCain economic model, but I'm not so sure that Obama's got all the answers. Obama wants to keep the majority of the Bush tax cuts, plus add some of his own. Both candidates propose spending increases and non-partisan sources suggest that both would continue deficits throughout the next decade, although Obama's would be slightly smaller.
Check out this article and then the links to the Tax Policy Center:
http://www.washingtonpost.com/wp-dyn/content/article/2008/08/30/AR2008083001681.html
Someone sent me your link--
and the more I read about Palin, the more I question her-
McCain makes me sick-- as we know he married for money so what does he know about economics? He is set for life! He is all about him!
There are two ways to stimulate the economy. One by relieving the tax on the wealthy so that they use the advantage to purchase more thus creating more jobs. The other way is less tax on the majority of people so they have more money to spend which then stimulates the economy. Bush already tried the first way, McCain way, and look where we are--job losses and a devalued dollar. I think it is time to try the Obama way and give the lower income people a tax break. Just think of how many home foreclosures it might stop, or additional purchases it might bring to local businesses.
Even Obama plan must be monitored carefully to ensure enough stimulation is occuring.
Bridget,
I think you are entirely too harsh on Bush-McCain. The truth is, that they were right. The multinational companies, when flush with extra cash, did invest it to create jobs.
And they created them where it was the most economically feasible to do so-- In Asia.
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